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Cut-rate flights on city's radar

Prince George is among the possible destinations for a new discount airline. According to documents filed with securities regulators, Vancouver-based Canada Jetlines Ltd.

Prince George is among the possible destinations for a new discount airline.

According to documents filed with securities regulators, Vancouver-based Canada Jetlines Ltd. is targeting flights from Vancouver to Prince Rupert and Prince George, as well as Fort McMurray, Alta., Saskatoon, Regina and Winnipeg.

The carrier is modeled on so-called ultra-low-cost carriers that charge cheap fares, but also generate revenue through baggage fees, charges for seat selection and in-flight meals.

"The focus of the airline is to bring Canadians low-cost airfares," company president David Solloway said Tuesday. "Canada is the only G-8 country that doesn't have a ULCC.

"They're very successful throughout the world and that's what Canadians are asking for, they're asking for low airfares...I see some of the airfares out of Prince George and I gag, to tell you the truth."

Base airfares are scheduled to be 30- to 40-per-cent lower than those offered by Air Canada and WestJet, the document said.

Although Prince George is in the mix, the carrier is still in the process of deciding which routes to fly. Solloway said route planners originally identified 170 routes that would work for an ultra-low cost carrier and the number has since been narrowed down to 28.

It's now in the process of deciding which will be the inaugural routes which will be unveiled once the service begins. It plans to start operations midway through 2015 with leased Boeing 737-300s, and Boeing Next Generation (NG) 737-700s and 737-800s.

"We'll start in Western Canada for the first few months and expand farther east as more aircraft come online," Solloway said.

Canada Jetlines has also placed a US$438-million order for five Boeing narrow-body 727 MAX aircraft that are expected to be delivered in 2021. Solloway said the MAX is 20 to 30 per cent more fuel efficient than the 737-300s and the NGs.

Prince George Airport Authority spokeswoman Lindsay Cotter said PGAA has been in contact with Canada Jetlines since October.

"We continue to share our story, we continue to tell them about our market and our community and our airport and some of the routes that we feel are under served," Cotter said. "They're on our radar, we know that they would work well here."

Inovent Capital, which is merging with Canada Jetlines, filed a prospectus in late November to raise $50 million through an initial public offering.

Starting Jan. 12, Pacific Coastal Airlines will provide a direct service between Prince George and Victoria six evenings a week.

- with files from Business In Vancouver